The Hong Kong Monetary Authority has announced a blueprint for promoting financial technology, and will launch four flagship projects in the coming months.

On February 3, the Hong Kong Monetary Authority announced the blueprint for the promotion of financial technology, proposing to promote responsible innovation and advanced application of financial technology. Under the Financial Technology 2030 vision, this strategic execution blueprint will expand the use of high-performance computing infrastructure and advanced solutions for artificial intelligence and Distributed Ledger Technology (DLT). The blueprint, built on data excellence and network resilience, aims to strengthen the banking industry's risk management capabilities when utilizing advanced technology. The blueprint presents a framework with ecosystem collaboration, technological evolution, and talent development as its core execution components. In the coming months, the Monetary Authority will launch four flagship projects, including: Quantum Readiness Index: Recognizing the profound impact of quantum computing on the financial industry that relies on secure encryption technology, the Monetary Authority will introduce the Quantum Readiness Index to assess the banking industry's readiness in the area of Post-Quantum Cryptography (PQC). This index will not only provide a comprehensive current analysis but will also serve as quantifiable goals for the coming years to assist the Monetary Authority in providing practical support for the banking industry's transition to PQC. New Risk Data Strategy: To fully leverage the potential of artificial intelligence and DLT in cutting-edge applications, the Monetary Authority will implement a new Risk Data Strategy to enhance the banking industry's data management capabilities. Through a more robust data governance framework and advanced data infrastructure, banks will be able to effectively use complex structured and unstructured data for advanced analysis to address the evolving risk environment. These capabilities will also support the Monetary Authority in expanding detailed data reporting plans, further strengthening risk management and banking regulatory flexibility. Financial Technology Cybersecurity Standards: The Monetary Authority will collaborate with the industry to develop a new and standardized, industry-led financial technology cybersecurity standard, focusing on the application of emerging technologies such as artificial intelligence and DLT. This standard aims to provide clear security guidance for financial technology companies collaborating with banks, strengthening trust and risk resilience in the entire financial technology ecosystem while enhancing due diligence efficiency for banks when introducing financial technology partners. Skills Development Support: The Monetary Authority will collaborate with the industry to provide practical guidance to enhance the skills of general financial technology users in banks and assist in existing skills development efforts. The measures will focus on enhancing human-computer interaction skills, enabling employees to better understand the skills required to integrate artificial intelligence and DLT into the next generation of financial products and services. The blueprint also refers to the results of the FinTech Maturity Survey and proposes a series of measures to address key factors challenging further development in financial technology. These measures include the FiNETech series, Responsible Innovation Competitions, optimizing the Fintech Connect matching platform, and practical workshops. Arthur YUEN, Deputy Chief Executive of the Monetary Authority, said: The future of the financial industry will be defined by those who can harness advanced technology as drivers, not only optimizing existing processes but also reshaping future possibilities. By encouraging responsible innovation, enhancing cross-border collaboration, and continuing to invest in talent development, the blueprint provides practical guidance to help build a resilient and forward-thinking ecosystem - a future financial system capable of balancing rapidly evolving risks and opportunities.